5505-3-05
Selection of payment plan.

(A)
A member of the
state highway patrol retirement system who retires under section
5505.16 of the Revised Code may
elect a plan of payment and nominate a beneficiary pursuant to section
5505.162 of the Revised Code.
The plan of payment selection and beneficiary nomination may be changed at any
time prior to the pension eligibility date of retirement benefits as defined in
rule 5505-3-01 of the Administrative
Code. After the pension eligibility date, the plan of payment and beneficiary
nomination is irrevocable except for as defined in this rule.

(B)
A retirant may
submit an application to change the plan of payment and beneficiary on a form
prescribed by the board. Upon receipt of an application submitted by the
retirant, except as provided in paragraph (F) of this rule, an optional plan of
payment will be changed to a single lifetime pension:

(a)
The designated beneficiary consents to cancellation of his
or her designation;

(b)
The completed application is received from the retirant
within one year of the retirant's first pension payment.

(2)
Death
of a beneficiary - the month after the date of death regardless of when the
application is received. In the event appropriate documentation is not provided
within ninety days of the beneficiary's death, HPRS shall reinstate the
nomination of the beneficiary until such time as HPRS receives the appropriate
supporting documentation on the death of the beneficiary.

(3)
Divorce,
annulment or marriage dissolution - the first month following receipt of a
completed application provided the retirant submits spousal consent or a court
order specifically authorizing the reselection of plan of payment on the basis
of the marriage termination.

(C)
There shall be no
retroactive adjustment for the period of time that a joint and survivor annuity
was paid.

(D)
The allowance payable under the optional plan of
payment selected or reselected under this rule shall be based on the annuity
factors tables in effect and the ages of the retirant and beneficiary at the
time of plan selection.

(E)
A retirant may elect an optional plan of payment
following marriage or remarriage provided:

(1)
The application
is received from the retirant within one-year of marriage or
remarriage;

(3)
If the retirant had selected a plan of payment pursuant
to division (A)(2)(d) of section
5505.162 of the Revised Code,
the new spouse may be designated a beneficiary only if the retirant does not
already have four beneficiaries designated under that plan at the time the
retirant applies to add the new spouse.

(F)
The death of any
designated beneficiary under division (A)(2)(d) of section
5505.162 of the Revised Code
shall not change the plan of payment. The plan benefit shall continue to the
remaining designated beneficiaries in their same percentages and the deceased
beneficiary's portion shall revert to the retirant for the remainder of his or
her lifetime. A retirant may not cancel the plan of payment and return to a
single lifetime pension equivalent until the date of death of all designated
beneficiaries under that plan. The effective date of this change shall be the
first day of the month following the date of death of the last living
beneficiary.

(G)
For purposes of determining the priority of court
orders issued under section
3105.171 or
3105.65 of the Revised Code or
the laws of another state regarding the division of marital property that
require the member to elect a plan of payment set forth in division (A)(2)(d)
of section 5505.162 of the Revised Code and
designate a former spouse as beneficiary, HPRS shall process such court orders
in the order in which they are received by HPRS. In no event shall the member's
lesser allowance or portion of the lesser retirement allowance be paid to more
than four surviving beneficiaries.

(H)
Any benefit paid
to a beneficiary under the joint and survivor annuity or life annuity certain
and continuous is in addition to the automatic surviving spouse benefit in
accordance with section
5505.17 of the Revised Code.
Section 401(a)(9) of the Internal Revenue Code of 2015,
26 U.S.C.A. 401(a)(9) prohibits the
payment of a benefit to a designated beneficiary or a combination of payments
made to a surviving spouse and designated beneficiary that exceeds the amount
the retirant was receiving at the time of death.